China E-Commerce

& Digital Report

Feburary 2022

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 TABLE OF
CONTENTS

I. CHINESE CONSUMER TRENDS AFTER THE PANDEMIC

I. CONSUMER E-BEHAVIORS TRENDS
II. LIVE-COMMERCE

II. NEW FEATURES OF E-COMMERCE PLATFORM

I. NEW FEATURE OF TMALL LUXURY PAVILION
II. THE APPLICATION OF NFTS

III. BIG TRENDS ON SOCIAL MEDIA

I. GUO CHAO – TRADITIONAL CHINESE CULTURE

IV. DIVERSITY OF OTHER DIGITAL PLATFORMS

I. BILIBILI & POIZON

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 Consumer E-Behaviors Trends
Online shopping behaviors in 2021 Annual transaction value of mobile payments in
China vs. Global China from 2017 to 2020 (Trillion RMB)

71% of Chinese consumers make purchases on

553
online platforms, significantly higher than
global peers.
+28% 432
347
China 71% 277
203

Global
excluding China 42%
2017 2018 2019 2020 E2021

⚫ 71% of Chinese consumers purchase via online platforms directly after Covid-19. Significantly higher
Key than their global peers (42%).
Insights ⚫ China’s mobile payment industry is growing. In 2020, the total transaction value of mobile payments
increased by 25% YoY.
Source: Accenture 2021 China Consumer Study Post-Covid-19 report, Statista, https://www.statista.com/statistics/1060702/china-mobile-payment-transaction-value/

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Live Commerce: A Rapidly Growing Channel
China’s live commerce will reach an Fashion is by far the leading category in
estimated 3,488 billion RMB in 2022 live commerce

Market Size, Billions 3 488 % of Livestreamers

4%
5%
+132% 2 270
7%

1 238 Fashion
Beauty
37%
417 8% Fresh Food
121 Electronics
2018 2019 2020 E2021 E2022 Home Decor

Market Size in Billions of RMB

⚫ Live commerce evolved rapidly in China, and the Covid-19 pandemic has intensified the growth.
Key
Chinese sales should reach 3,488 billion RMB by 2022.
Insights
⚫ The most showcased product category in live commerce is fashion, with a 37% share.
Source: Mckinsey, https://www.mckinsey.com/business-functions/mckinsey-digital/our-insights/its-showtime-how-live-commerce-is-transforming-the-shopping-experience,
Statista, https://www.statista.com/statistics/1060702/china-mobile-payment-transaction-value/

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The New Features of Tmall Luxury Pavilion (1/2)
⚫ The platform has boosted more than 200 leading luxury brands, up from 150 before Covid-19.
⚫ On the homepage, the channel has launched a new event "calendar," which can be updated daily
with the latest brand trends.

Click to check more

“ New Event”

Event calendar of different brands Follow TOD’s flagship store to participate in

“Calendar” of Tmall the lucky draw
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The New Features of Tmall Luxury Pavilion (2/2)

3D Interactive AR Trial Mini Games

PIAGET COACH JAEGER-LECOULTRE GUCCI IWC

Cloud Gallery of Tmall

Luxury Pavilion

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The Use of NFTs in China for Luxury Brands
⚫ Non-fungible tokens (NFTs) are digital collectibles conveying ownership of digital assets like an
original piece of artwork.
⚫ The NFTs in China are generally packaged along with a physical item, such as a limited edition item.

Burberry Remy Martin Longines Coach

A special edition Burberry Remy Martin issued 5,000 Longines listed 45 Coach’s NFT was the
scarf sold with a deer NFT on NFTs on Tmall in 2022 limited edition NFTs on classic icon REXY sold on
Tmall for 11.11 in 2021 Tmall D11 2021 Tmall 11.11 in 2021

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 Significant Trends on
Social Media
1. China’s silver economy should reach 880 billion
dollars by the end of 2021. The number of seniors on
digital platforms is increasing.

2. Female empowerment is trending on social media.

Mercedez-Benz aimed to appeal to female auto
buyers with their "She’s" campaign.

3. Young Chinese consumers are increasingly

interested in domestic brands that mix traditional
Chinese culture and style.

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Guochao – Traditional Chinese Culture and Style
⚫ Guochao refers to the increased consumer favoritism towards Chinese brands, designs, and culture.
⚫ 80% of Gen Z is the main force of Guochao (national brands).

Florasis Gucci

Packaging with Asian elements and flower- Gucci’s Chinese New Year 2022 Tiger collection
engraved makeup

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The Diversity of Other Digital Platforms
Bilibili Poizon

⚫ Bilibili, a video-sharing platform, is famous ⚫ Chinese Millennials and Gen Z consumers have
for real-time comments that fly across the shown considerable interest in secondhand luxury
screen while users watch videos. goods.
⚫ The platform was created over 10 years, but it ⚫ Poizon, China’s premium sneaker, and streetwear
has re-piqued the interest of brands such as social commerce platform.
Dior, Shiseido, L’Oréal, thanks to a younger
⚫ Coach announced an official partnership with
generation.
Poizon in May 2021.
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Key Takeways

⚫ The Digital Impact of Covid-19

Covid-19 led to more people staying at home, resulting in a high demand for digital payments,
e-commerce, and live commerce, which resulted in vast opportunities for brands.

⚫ Innovation of E-Commerce Technology

Last year, to provide a more immersive shopping experience, Tmall Luxury Pavilion upgraded its AR,
VR, and 3D technology. Many Chinese social media and e-commerce giants such as Taobao, JD, Red,
Tencent launched their NFT platforms.

⚫ Marketing Trends Influenced by Demographics

Silver economy, women's empowerment, and Guochao (national trends) are noteworthy trends in
China. Mastering these trends will help brands succeed in the Chinese market in the future.

⚫ Growing Popularity of Online Platforms

Poizon emerged rapidly last year since consumers spent more time at home and became interested
in second-hand luxury goods. The Chinese platform, Bilibili, is growing thanks to its diverse content,
content quality, and sense of community.

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 Thank You!
For more information feel free to contact us!

Victoria Glanz Michelle Chen

General Manager | Europe Tel: General Manager | China
+33 6 70 69 21 40 Tel: +86 186 1687 7953
victoria.glanz@fulljet.com.cn michelle.chen@fulljet.com.cn

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member of Baozun Group. No use or disclosure of the information contained herein is permitted without the
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